NASBA Board Discusses 120/150 Hours Draft

State Board Report

February 2009

The NASBA Board’s January 16 meeting included a spirited discussion of the 120/150 hour education draft paper on NASBA’s Web site. While Board members held varying views on whether or not candidates should be permitted to take the Uniform CPA Examination upon completing 120 hours of education, or if 150 hours should be required for taking the examination as well as for licensure, following their discussion, the Board concurred with the Web site posting of the discussion draft for the purposes of eliciting consideration of the topic. NASBA’s Education Committee will be reviewing the draft and the written responses, which have also been posted on the NASBA site.

“Our position was not to support or oppose either alternative,” President David Costello stated. “We were very careful in indicating that this was a ‘discussion draft,’ so that no one would get the idea it was a formal position. It was a discussion motivator. I think the Education Committee can help to guide as to what needs to be done next.”

At the January meeting, Committee on Relations with Member Boards Chair E. Kent Smoll reported the Regional Directors have set several goals for this year: (1) continue to urge the boards to fully participate in the Accountancy Licensee Database; (2) support the passage and implementation of mobility legislation in all jurisdictions; and (3) promote the initiatives of NASBA’s new Enforcement Practices Committee. Mr. Smoll noted the Regional Directors are concerned about how the lagging economy is impacting the operations of the state boards and the effect it may have on attendance at NASBA meetings.

Senior Vice President Ken Bishop told the Board that 31 states have passed mobility legislation and 16 have mobility language written for introduction in 2009. Forty‐eight jurisdictions now have either passed mobility provisions as described in the Uniform Accountancy Act’s Section 23, or introduced such bills, or their board has voted in favor of such legislation. Chief Operating Officer Joe Cote reported that 18 states are fully participating in the Accountancy Licensee Database and nine more have agreed to have their information added.

Treasurer Leonard Sanchez informed the Board that NASBA’s operations are on track financially; however, the Administration and Finance Committee is concerned about NASBA’s investments. An alternative investment adviser was considered, but NASBA’s Investment Committee ultimately decided to stay with the current adviser. Mr. Cote noted that as states are having budget problems, they are prohibiting travel by employees or refusing to fund such travel. Consequently, NASBA will be providing additional funding for scholarships, to enable states to participate in NASBA meetings, he assured the Board.